Sunday, 12 February 2012

Wandoan Update- whats happening there

$1.8b coal mines win significant project status

Two proposed coal mines in Queensland have been awarded significant project status by the Queensland coordinator general.

Cockatoo Coal wants to build the two mines with a combined cost of $1.8 billion.
The company says the mines, near Wandoan and Taroom, could export about 14 million tonnes of thermal coal each year.
The Queensland Government says the declaration will mean a comprehensive environmental impact assessment is carried out.
Western Downs Mayor Ray Brown says his council will be closely monitoring the evaluation of the proposed Wandoan mine. YES PROPOSED NOT FINAL YET
BUT LETS LOOK AT COCKATOO COAL...

Cockatoo Coal currently holds 100% interests in approximately 4000km2 of coal projects in the Surat Basin region of South Eastern Queensland, inclusive of the Kingaroy project.

In addition, Cockatoo has a 51% interest in the Taroom and Collingwood projects and has entered into an agreement with Mitsui to sell down the Company's interest in the Woori project to 51%.

Mitsui currently own 49% of the Collingwood and Taroom projects and, together with the Woori project, will form the North Surat Joint Venture. The consolidation of the Collingwood, Taroom and Woori projects into one joint venture activity to be managed by Cockatoo, will facilitate the orderly development of these projects.

All projects are considered to have significant further resource potential, excepting the Woori project.
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The drilling undertaken on the Collingwood, Taroom, Tin Hut Creek and Krugers projects has delivered positive results that will form part of the development program of Cockatoo’s Surat Basin assets.

Development of the Surat projects is dependent on construction of the planned Surat Basin Railway project - which will be the single biggest economic injection ever for the region.

Mine planning and environmental studies, aimed at rapidly progressing feasibility studies and government development approvals, were initiated.
During the year, the attributable total JORC compliant resources at the Surat Basin projects (excluding Kingaroy and Ownaview) were increased by 107% to 863 million tonnes, including a 453% increase in the Measured and Indicated resource categories to 465.9 million tonnes.

A full breakdown of Cockatoo’s current Surat Basin JORC project resources as follows:

Reserves (Mt)

Resources (Mt)

Projects

Proven

Probable

Total

Measured

Indicated

Inferred

Total

Bottle Tree

0

0

0

0

29.5

6

35

Collingwood

0

0

0

79.7

80.3

69

229

Davies Road

0

0

0

0

76

76

Krugers

0

0

0

105

105

Taroom

0

0

0

158.1

149.3

126

433

Tin Hut Creek

0

0

0

0

206.6

137

344

Woori

40.6

0

40.6

84.3

0

0

84

╪Kingaroy

0

0

0

35.5

128.3

114

278

Total Surat Basin Projects

40.6

0

40.6

357.6

594.0

633

1584

* As at September 30 2011 and reduced by subsequent production.

╪ Kingaroy lies east outside the Surat Basin

MORE ABOUT THE PROPOSED MINE WADOAN

"I support the EIS process that goes through with it," he said.
"We'll be very keen to look at any social impact management plans that go with it too, because it certainly will affect our townships across there, particularly employment and affordable housing, but also to safeguard our agricultural sector to make sure it's protected."
Plans include a seven-kilometre railway and a 16-kilometre electricity transmission line.
The mines are expected to operate for 25 years.

Coordinator general Keith Davies says construction will create about 1,000 jobs, and when completed the mines would employ a similar number of workers.

Mr Davies says declaration of the project as significant is not an indication of approval or support.
He says rigorous environmental assessments will be carried out.